Blue Cross Blue Shield of Tennessee said Tuesday it would re-enter the marketplace in a region of the state with no other option for individual health insurance, but that policies might cost more because of political uncertainty.
Calling the move “an extension of our mission,” while noting the company appeared to be turning a corner in Tennessee after three tough years financially, BCBS President and CEO J.D. Hickey said the decision was an effort to lower risk as Congress and President Trump continue their efforts to repeal Obamacare.
“Given the potential negative effects of federal legislative and/or regulatory changes, we believe it will be necessary to price-in those downside risks, even at the prospect of a higher-than-average margin for the short term, or until stability can be achieved. These risks include but are not limited to the elimination of Cost Sharing Reduction subsidies (CSRs), the removal of the individual mandate and the collection of the health insurer tax,” Hickey said in a letter to Commissioner Julie Mix McPeak of the Tennessee Department of Commerce and Insurance.
